Market Cap
R$16.8b
Last Updated
2021/01/18 21:58 UTC
Data Sources
Company Financials +
Executive Summary
BRF S.A. focuses on raising, producing, and slaughtering poultry and pork for processing, production, and sale of fresh meat, processed products, pasta, margarine, and other products. More Details
Rewards
Risk Analysis
Snowflake Analysis
Questionable track record and overvalued.
Similar Companies
Share Price & News
How has BRF's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BRFS3 is not significantly more volatile than the rest of BR stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: BRFS3's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
-5.3%
BRFS3
-0.5%
BR Food
-0.2%
BR Market
1 Year Return
-43.4%
BRFS3
-16.5%
BR Food
0.9%
BR Market
Return vs Industry: BRFS3 underperformed the BR Food industry which returned -15.7% over the past year.
Return vs Market: BRFS3 underperformed the BR Market which returned 0.8% over the past year.
Shareholder returns
| BRFS3 | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.3% | -0.5% | -0.2% |
| 30 Day | -7.6% | 1.5% | 4.0% |
| 90 Day | 9.7% | 5.9% | 19.4% |
| 1 Year | -43.4%-43.4% | -15.0%-16.5% | 3.6%0.9% |
| 3 Year | -44.7%-44.7% | 38.3%34.7% | 59.1%42.1% |
| 5 Year | -56.0%-56.6% | 45.5%38.5% | 223.9%168.2% |
Long-Term Price Volatility Vs. Market
How volatile is BRF's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is BRF undervalued compared to its fair value and its price relative to the market?
14.17x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: BRFS3 (R$20.39) is trading above our estimate of fair value (R$15.77)
Significantly Below Fair Value: BRFS3 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BRFS3 is poor value based on its PE Ratio (14.2x) compared to the BR Food industry average (11.8x).
PE vs Market: BRFS3 is good value based on its PE Ratio (14.2x) compared to the BR market (17.7x).
Price to Earnings Growth Ratio
PEG Ratio: BRFS3 is poor value based on its PEG Ratio (1.1x)
Price to Book Ratio
PB vs Industry: BRFS3 is overvalued based on its PB Ratio (2.3x) compared to the BR Food industry average (2x).
Next Steps
Future Growth
How is BRF forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
12.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BRFS3's forecast earnings growth (12.4% per year) is above the savings rate (9.9%).
Earnings vs Market: BRFS3's earnings (12.4% per year) are forecast to grow slower than the BR market (26.8% per year).
High Growth Earnings: BRFS3's earnings are forecast to grow, but not significantly.
Revenue vs Market: BRFS3's revenue (5.3% per year) is forecast to grow slower than the BR market (9.9% per year).
High Growth Revenue: BRFS3's revenue (5.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BRFS3's Return on Equity is forecast to be low in 3 years time (11.4%).
Next Steps
Past Performance
How has BRF performed over the past 5 years?
-21.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BRFS3 has a large one-off gain of R$1.1B impacting its September 30 2020 financial results.
Growing Profit Margin: BRFS3's current net profit margins (3.1%) are higher than last year (2.6%).
Past Earnings Growth Analysis
Earnings Trend: BRFS3's earnings have declined by 21.7% per year over the past 5 years.
Accelerating Growth: BRFS3's earnings growth over the past year (39.1%) exceeds its 5-year average (-21.7% per year).
Earnings vs Industry: BRFS3 earnings growth over the past year (39.1%) underperformed the Food industry 80%.
Return on Equity
High ROE: BRFS3's Return on Equity (16%) is considered low.
Next Steps
Financial Health
How is BRF's financial position?
Financial Position Analysis
Short Term Liabilities: BRFS3's short term assets (R$23.9B) exceed its short term liabilities (R$18.1B).
Long Term Liabilities: BRFS3's short term assets (R$23.9B) do not cover its long term liabilities (R$25.7B).
Debt to Equity History and Analysis
Debt Level: BRFS3's debt to equity ratio (380.7%) is considered high.
Reducing Debt: BRFS3's debt to equity ratio has increased from 110.5% to 380.7% over the past 5 years.
Debt Coverage: BRFS3's debt is not well covered by operating cash flow (19.5%).
Interest Coverage: BRFS3's interest payments on its debt are not well covered by EBIT (1.4x coverage).
Balance Sheet
Next Steps
Dividend
What is BRF current dividend yield, its reliability and sustainability?
2.23%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate BRFS3's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate BRFS3's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if BRFS3's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if BRFS3's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: BRFS3 is not paying a notable dividend for the BR market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of BRFS3's dividend in 3 years as they are not forecast to pay a notable one for the BR market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.6yrs
Average management tenure
CEO
Lorival Luz (49 yo)
1.58yrs
Tenure
Mr. Lorival Nogueira Luz, Jr., has been Member of Executive Board of BRF S.A. since September 2017 and had been its Global Chief Operating Officer since 2018 until June 17, 2019 and serves as its Global Ch...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Global CEO & Member of Executive Board | 1.58yrs | no data | 0.0099% R$ 1.7m | |
| Chief Financial & Investor Relations Officer and Member of Executive Board | 1.33yrs | no data | no data | |
| Vice President of International Operations and Member of Executive Board | no data | no data | no data | |
| Vice President of People Services & Technology | no data | no data | 0.0065% R$ 1.1m | |
| VP of Commercial Brazil Market & Member of Executive Board | no data | no data | 0.0083% R$ 1.4m | |
| VP of Operations & Procurement and Member of Executive Board | no data | no data | no data | |
| VP of Sales & Operations Planning & Supply Chain and Member of Executive Board | no data | no data | no data | |
| VP of Quality | no data | no data | 0.0011% R$ 187.8k | |
| Vice President of Institutional Affairs | 2.42yrs | no data | no data | |
| Controller | no data | no data | no data | |
| Secretary | no data | no data | no data | |
| Global EHS Director | no data | no data | no data |
1.6yrs
Average Tenure
50yo
Average Age
Experienced Management: BRFS3's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Director | 11.5yrs | no data | no data | |
| Independent Chairman of the Board | 2.75yrs | no data | 0.038% R$ 6.3m | |
| Independent Director | 2.75yrs | no data | no data | |
| Independent Director | 3.75yrs | no data | no data | |
| President of Fiscal Council | 15.75yrs | no data | no data | |
| Independent Vice Chairman | 2.75yrs | no data | no data | |
| Independent Director | 2.75yrs | no data | 0.76% R$ 128.1m | |
| Independent Director | 2.75yrs | no data | 0% R$ 0 | |
| Member of the Fiscal Council | 1.75yrs | no data | no data | |
| Independent Director | 1yr | no data | no data | |
| Member of Fiscal Council | 2.75yrs | no data | 0.000070% R$ 11.7k | |
| Director | 1yr | no data | no data |
2.8yrs
Average Tenure
63yo
Average Age
Experienced Board: BRFS3's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
BRF S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: BRF S.A.
- Ticker: BRFS3
- Exchange: BOVESPA
- Founded:
- Industry: Packaged Foods and Meats
- Sector: Food, Beverage & Tobacco
- Market Cap: R$16.768b
- Shares outstanding: 807.71m
- Website: https://www.brf-global.com
Number of Employees
Location
- BRF S.A.
- Rua Jorge Tzachel, nº 475
- Bairro Fazenda
- Itajaí
- Santa Catarina
- 88301-600
- Brazil
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BRFS3 | BOVESPA (Bolsa de Valores de Sao Paulo) | Yes | Common Shares | BR | BRL | Jul 1997 |
| BRFS | NYSE (New York Stock Exchange) | SPON ADR (EACH REP 1 COM SHS BRL0.00) | US | USD | Oct 2000 | |
| BRFS N | BMV (Bolsa Mexicana de Valores) | SPON ADR (EACH REP 1 COM SHS BRL0.00) | MX | MXN | Oct 2000 | |
| P5Y | DB (Deutsche Boerse AG) | SPON ADR (EACH REP 1 COM SHS BRL0.00) | DE | EUR | Oct 2000 |
Biography
BRF S.A. focuses on raising, producing, and slaughtering poultry and pork for processing, production, and sale of fresh meat, processed products, pasta, margarine, and other products. The company’s product...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/18 21:58 |
| End of Day Share Price | 2021/01/18 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.